Labor — secondary strikes

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U.S. Court of Appeals for the 7th Circuit

Civil

Labor — secondary strikes

Where a union intimidated an employer’s customers, the employer is entitled to a trial.

“Stepping back from our extended discussion of the facts of this case, we must note the common theme connecting the Hotel’s claims regarding ATI, IHA and Reed Exhibitions. In none of these instances were the relevant decision-makers persuaded to join the Union’s cause. Each one testified that he or she felt worried about what would happen to their organizations if they defied the Union. Federal labor law permits unions to distribute handbills and leaflets at a secondary organization, even though that neutral entity may suffer economic loss, because those efforts depend ‘entirely on the persuasive force of the idea.’ Safeco, 447 U.S. at 619 (Stevens, J., concurring); see DeBartolo Corp., 485 U.S. at 580 (‘The loss of customers … is the result of mere persuasion.’). A neutral suffers only if customers are persuaded. Here, the Union is alleged to have skipped persuasion and instead simply interfered with the inner workings of three neutral entities. That is why this case must go to trial.”

Reversed and Remanded.

13-1938 520 South Michigan Avenue Associates v. Unite here Local 1

Appeal from the United States District Court for the Northern District of Illinois, Tharp, J., Tinder, J.